Objective: The study implemented targeted nursing services in the drug treatment of icteric newborns, observed effect of the nursing model, its impact on medical expenses. Methods: 56newborns with icteric covered by medical insurance from May2019to July2021were randomly assigned to the control group, the observation group. The distribution of the two groups was equal. The control group was given routine nursing mode, the observation group was given targeted nursing mode. Data, nursing results were recorded in time, the icteric symptoms, bilirubin, medical expenses, out-of-pocket payment, family satisfaction of the two groups were compared after one month. Results: The disappearance time of jaundice symptoms, serum total bilirubin level, medical expenses, out-of-pocket payment in the observation group after nursing were significantly lower than those in the control group, the satisfaction of family members was higher than that in the control group. Conclusion: The application of targeted nursing services in the drug treatment of neonatal jaundice children covered by medical insurance can shorten the disappearance time of jaundice symptoms, reduce the out-of-pocket payment, improve the satisfaction of family members, which is worthy of promotion, application